(Bloomberg) -- Buy-now-pay-later startup Zilch has raised a further $50 million, upping the total raise for its Series C fundraising to $160 million as it plans bolster US expansion plans.
The London-based fintech, which allows users to pay for goods -- including groceries -- in installments, has now received total funding of more than $460m, according to a statement Thursday. The raise -- which maintained the startup’s $2 billion valuation -- comes at a time flagship BNPL provider Klarna is considering raising fresh funds at a lower valuation.
The injection of capital will fund business growth in the US market where Zilch recently opened its Miami office. The company said it has more than 150,000 pre-registered customers in the US with an uptake four times faster than in the UK.
“What investors are seeing in Zilch is something that is bucking the trend” Chief Executive Officer and Co-Founder Philip Belamant said in an interview. “Zero to 2.5 million customers, faster than anyone, in just over 18 months.”
The unicorn is looking at potential acquisitions, particularly in the advertising technology and open banking spaces, he said. The 250-person firm is looking to add a further 50 roles by the end of the year.
The new funding follows the recent UK government announcement it would tighten regulation of the BNPL sector amid growing concern some users don’t fully understand the product as more consumers turn to the unregulated form of credit.
Zilch’s investors include Ventura Capital, Goldman Sachs Asset Management and Gauss Ventures.
©2022 Bloomberg L.P.
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